RailTel Corp jumps 5% after Rs 211 cr order win

RailTel Corporation of India rose 3.27% to Rs 123.05 after the company has received work order worth Rs 210.77 crore from Ircon International.

The order comprises design, supply, installation, testing & commissioning of tunnel communication system in tunnel environment on Dharam-Banihal section of Jammu Kashmir Rail Link Project under Ferozepur division of Northern Railway. The entire work is to be completed in a period of 12 months.

RailTel Corporation of India’s consolidated net profit rose 130.85% to Rs 67.50 crore on 26.69% rise in net sales to Rs 358.49 crore in Q2 September 2021 over Q2 September 2020.

RailTel, a “Mini Ratna (Category-I)” Central Public Sector Enterprise is an information and communications technology (ICT) provider and one of the largest neutral telecom infrastructure providers in the country owning a pan-India optic fiber network on exclusive Right of Way (ROW) along Railway track. The Optical Fibre Cable (OFC) network covers important towns & cities of the country and several rural areas. The Government of India held 72.84% stake in the company.

Shares of RailTel Corp were listed on the stock exchanges on 26 February 2021. The stock was listed at Rs 104.60, a premium of 11.28% to the initial public offer (IPO) price of Rs 94. The issue was subscribed 42.39 times. The issue opened for bidding on 16 February 2021 and closed on 18 February 2021. The price band for the IPO was set at Rs 93-94 per share. Capital Market